BCEL General Director: 10% is considering to be the capital from foreign investors

BCEL General Director: 10% is considering to be the capital from foreign investors

(Vietstock) – Lao Securities Exchange (LSX) officially begins trading on January 11, 2011 with the two listed companies: a spin-off of state-run energy giant Electricite du Laos (EDL) and Banque Pour Le Commerce Extereiur Lao (BCEL). Vietstock has an interview with Mr. Sonexay Sitphaxay – BCEL General Director with the intention to provide investors with comprehensive information on this event.

Mr. Sonexay Sitphaxay – BCEL General Director

1. First, congratulations on your first successful Annual General Shareholders’ Meeting and listing shares on LSX. How do you evaluate recent operation and events of BCEL?

BCEL is going on the right track and we are ready to be listed in the Lao Stock Exchange at the premiere official opening on 11th January 2011. 

2. The equalization and initial public offering (IPO) of BCEL was implemented quickly, so what are your preparations for these events?

Before listing on the stock exchange, BCEL has to urgently prepared many requirements such as implementing of IPO, applying for listing licensed documents, organizational structuring, appointing of auditing committee and approving the bank’s future plans and strategies. However, we are still looking our future strategic partner and the step is under the process.

3. What is your expectation on the Lao Stock Market in the coming years?

Privatizing of BCEL is a good opportunity for public investors, especially Lao citizens to become owners of the bank; we are very glade to share the possession and benefits to all shareholders. Furthermore, we are very appreciated public opinions in making decision of the bank’s future strategies. Not only local support and participation, collaboration with our future strategic partner as a strengthening financial institution, is upgrading the Bank’s services and operations to reach the next level of development in the international market.

4. As a public company, all your operations must be public and transparent, is BCEL ready for complying with these regulations?

Answer: BCEL has taken transparency as our first priority, we has continuously implemented external audit every year. On the other hand, besides our auditing and reporting to the Bank of the Lao P.D.R and to the Board of Directors, we are establishing Shareholders Audited Committee to emphasizingly certify our transparency to the public.

5. Would you mind telling me about the future development strategies of BCEL?

We are planning many future strategies but I would like to share with some highlighted areas such as:

- Improving on standard of services with cooperation and support from our future strategic partner.

- Developing the bank’s IT system to international standard especially implementing new Core Banking in order to satisfactory serve our customers with full international service options. 

- Extending service network within country and increasing number of oversea correspondent banks. 

- Improving BCEL’s credibility in international market.

- Modifying the banks’ organizational structure to be appropriated with the privatizing regulations in accordant with maintain a good welfare system to our staffs. 

6. Right now, have you got any plan on dividend for shareholders?

Answer: According to the Regulations on Privatized Bank, the bank has to distribute dividend to all shareholders, we are expecting to achieve that too. We are currently approving our plans and policies, hence, we are reporting to the public soon after completion.

7. The goals of Lao government when carrying out the IPO and listing shares of the state-owned company is to raise capital from the international markets. What is BCEL’ goals to draw the capital from foreign investors?

Answer: According the privatizing regulations, BCEL has to distribute 30% of our total shares to the public, among that, we have done IPO 20% of our total shares within Laos including 15% to Lao citizens and 5% to BCEL’s staffs. However, the rest (10%) is considering to be the capital from foreign investors and it is keeping for our future strategic partner as oversea institution which the selection is still on the process.   

Viet Vinh - Pham Thi Phuoc